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Zip Code 35186: Rising Home Values and Ownership Trends in Wilsonville, Alabama
CATEGORY
Property Value
DATA
Percent Owner Occupied
Housing Prices
Median Rent
Population
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Property Value
Percent Owner Occupied
Housing Prices
Median Rent
Population
Zip code 35186, located in Wilsonville, Alabama, has experienced notable changes in homeownership rates and property values over the past decade. This area has seen a general trend of increasing average home prices and fluctuating homeownership rates, reflecting the dynamic nature of its real estate market.
The ownership percentage in zip code 35186 has shown some variability over the years, with a general trend towards high homeownership rates. In 2013, the homeownership rate was 76%, which increased to 86% by 2017, marking the highest point in the available data. However, there was a slight decline in subsequent years, with the rate settling at 83% in 2022. Concurrently, average home prices in the area have shown a consistent upward trend. In 2013, the average home price was $188,957, which steadily increased to $338,812 by 2022, representing a substantial 79% increase over this period.
The relationship between federal interest rates and homeownership rates in this zip code shows some interesting patterns. Despite historically low interest rates from 2013 to 2016 (ranging from 0.09% to 0.4%), homeownership rates remained relatively stable, hovering around 81%. However, as interest rates began to rise more significantly from 2017 onwards, reaching 1.68% in 2022, homeownership rates actually increased slightly to 83%. This suggests that factors beyond interest rates, such as local economic conditions or housing supply, may have played a more significant role in homeownership trends in this area.
Renter percentages in zip code 35186 have generally been low, reflecting the high homeownership rates. The renter-occupied percentage was 24% in 2013, decreasing to 14% by 2017, before slightly increasing to 17% in 2022. Average rent prices have shown some volatility over this period. In 2013, the average rent was $1,044, which peaked at $1,234 in 2017 before decreasing to $931 in 2022. This trend doesn't consistently correlate with the renter percentage, suggesting that other factors, such as local housing policies or economic conditions, may influence rent prices in this area.
Looking at the most recent data, average home prices in zip code 35186 continued to rise in 2023 and 2024, reaching $343,416 and $353,909 respectively. This represents a 4.5% increase from 2022 to 2024, indicating a continued strong housing market despite the significant increase in federal interest rates to 5.02% in 2023 and 5.33% in 2024.
Applying predictive models to forecast 5-year trends, we anticipate that average home prices in zip code 35186 will continue to rise, albeit at a potentially slower rate due to higher interest rates. We project average home prices could reach approximately $400,000 by 2029. For rent prices, the forecast suggests a potential stabilization or modest increase, with average rents possibly reaching around $1,100 to $1,200 per month in the next five years.
In summary, zip code 35186 has demonstrated a robust housing market with consistently rising average home prices and generally high homeownership rates. The area has shown resilience in maintaining strong homeownership levels even in the face of rising interest rates. While rent prices have fluctuated, they have remained relatively stable in recent years. The continued rise in home values, despite increasing interest rates, suggests a sustained demand for housing in this area, potentially driven by local economic factors or the area's desirability.
